Imprint | Deutsch

Debt collection and compulsory enforcement

The Dr. Friedrich law office focuses not only on German civil and criminal law but also on international debt collection and compulsory enforcement.

No matter whether it concerns a unique or on-going debt or even an increased debt amount: With us your claim is in professional hands and is pursued with the minimum of stress or inconvenience to yourself.          

We professionally structure your claim and quickly move to press for payment by the most appropriate means.

It is worth noting that where claims are successful, the whole procedure is cost free for the claimant. This is because in German Law, if the debtor is deemed to be responsible for the delayed payment, he or she has to carry all the costs of recovery.

Should judicial furtherance of your claim become necessary, we discuss all material issues with you first and our services are generally result-oriented.

Process and costs of the procedure

oben

I. Out of court action - Gathering Information about the debtor and following the “dunning” process (persistently asking for overdue payment leading to the sending of a final demand letter).

In most cases we suggest our clients send a final demand letter professionally written by our law office. In many cases, this letter leads to payment in full or an offer to pay the claim by instalments.

To try to ensure success and economic efficiency of the procedure – it is often necessary to obtain a significant amount of information about the financial situation of the debtor (especially in view of possible future court proceedings). Besides your own information, we also rely on a number of different external sources. Following these investigations, if should it become apparent that your debtor has announced insolvency, there is often little point in embarking on a judicial claim. In these cases, we pronounce your claim to the insolvency procedure, without additional costs to yourself.

II. Court proceedings

If a legal procedure becomes necessary, we usually recommend you initialise the so-called Mahnverfahren (judicial final demand procedure) instead of a regular lawsuit. The idea behind a final demand procedure is that providing the debtor doesn’t oppose it automatically, it results in an enforceable judgement without any disadvantages. Although there is a special court for the judicial proceedings, the resulting judgement has the same effects as one issued by a regular regional or high court and it allows for all types of enforcement.

The judicial final demand (dunning) procedure has two advantages:

1. It is much cheaper than a normal lawsuit: The initial payment to the court is only 1/6 of the sum that would have to be paid to the local or high court and there is also no hearing in this type of procedure.

2. It is much faster than a regular lawsuit: If the debtor does not oppose the claim, it normally takes only 4 to 6 weeks.

If the debtor opposes to the claim in the so called Mahnverfahren the legal action would be transferred to the relevant Local or High court and the proceedings will then be continued as a normal law suit. The initial payment to the court will however have to be extended to the full amount (another 5/6) and the case will be continued with at least one hearing and if necessary, terminate in a sentence.

It is important to know that our office is entitled to represent clients in front of all German Local and High courts (Amts- und Landgerichte). Trials in Germany are mainly based on written statements, personal presence of opposing parties is very rarely requested by the courts.

III. Compulsory enforcement

Should the legal pursuance of your demand become necessary, we inform you beforehand regarding the correct measures to take and the likely costs. Please note that in Germany, the party who looses the claim is obliged to meet the costs of the legal proceedings. As a result, the debtor must make restitution for the cost of the legal proceedings. This applies to the cost for the compulsory enforcement as well.

IV. What about the costs of the procedure?

We guarantee cost clarity. The costs of the procedure depend on the outstanding amount in dispute. Dependant on the individual case, we can offer either inclusive fees or billable time by the hour.

Please contact us for an individual offer or if you need any further information.